Motor trade no claims bonuses can seem confusing, but they work in a similar fashion to how they function in the personal motor industry; drivers earn them over time. This is a great way to lower the overall cost of your motor insurance, but it can become a little complicated if you try to transfer the premium to a different policy.
What is a no claims bonus?
Research has found that lots of people find insurance policies very confusing, but it does not need to be this way. A no claims bonus is simply a discount on your motor insurance. This can help lower the cost of your insurance over time.
Getting a discount on your motor insurance
If you want to get a discount on your motor insurance, the best thing you can do is use the vehicle for a few years without making a claim. For example, if you go three years without making a motor insurance claim, it is very likely that you will receive a discount.
If you have driven the vehicle for five years without making any claims, the discount will normally stay the same for the rest of the time that you drive the car. However, if you decide to take out a combined trade policy, only the road risks section of your current policy will still be eligible for a no claims discount.
Can you transfer your motor trade no claims bonus?
If you want to change insurers, you may be worried about your current no claims bonuses. However, according to motor insurance specialists https://www.quotemetoday.co.uk/motor-trade-insurance, it is entirely possible to find new motor trade insurance with a different company.
Although some companies will not offer a trade that allows you to continue with your current no claims bonus, lots of companies are more than happy to transfer the bonus for you. However, you should speak to the insurance company about this before transferring your insurance as this means you can be certain about the safety of your no claims bonus.
Lots of people assume that it is very difficult to move their motor trade no claims bonus, but it is entirely possible. Just search around and find an insurance company that will be happy to transfer the no claims bonus for you!